Energy Plug Announces Closing of Warrant Exercise Incentive Program

Rhea-AI Summary

Energy Plug Technologies announced the successful conclusion of its early warrant exercise program, initially launched on May 7, 2024. The program targeted 15,900,000 share purchase warrants issued during a private placement on May 16, 2023. Holders of these warrants received one-half of an additional common share purchase warrant for each exercised warrant. With a total of 2,900,000 warrants exercised, the company raised $217,500 in gross proceeds and issued 2,900,000 common shares and 1,450,000 new purchase warrants. These new warrants allow holders to buy shares at $0.075 each until May 16, 2025. Proceeds will be used for working capital. Additionally, the new warrants are subject to a four-month hold period under Canadian law.

Positive

• Successful exercise of 2,900,000 warrants.
• Raised $217,500 in gross proceeds.
• Issued 2,900,000 common shares.
• Distributed 1,450,000 new purchase warrants.
• New warrants priced at $0.075 per share.
• Proceeds allocated for working capital purposes.

Negative

• Only 2,900,000 out of 15,900,000 warrants were exercised.
• New warrants subject to a four-month hold period.

Vancouver, British Columbia--(Newsfile Corp. - May 24, 2024) - Energy Plug Technologies Corp. (CSE: PLUG) (OTCQB: PLGGF) (FSE: 6GQ) ("Energy Plug" or the "Company"), is pleased to announce the closing of its early warrant exercise program (the "Program"), as previously announced by the Company in its news release dated May 7, 2024 (the "Initial News Release"), with respect to 15,900,000 share purchase warrants issued pursuant to the Company's private placement completed on May 16, 2023 (the "Eligible Warrants").

Pursuant to the Program, the Company offered, to each holder of Eligible Warrants (the "Warrant Holders") who exercises the Eligible Warrants on and before the expiry date of May 16, 2024, the issuance of one-half common share purchase warrant for each Eligible Warrant exercised (each, a half "Incentive Warrant"). Each whole Incentive Warrant entitles the Warrant Holder to purchase one common share of the Company (each, a "Share") for a period of 12 months from May 16, 2024, at a price of $0.075 per Share.

Pursuant to the Program, an aggregate of 2,900,000 Eligible Warrants were exercised for aggregate gross proceeds of $217,500. 1,200,000 Eligible Warrants were exercised before May 7, 2024 and 1,700,000 Eligible Warrants were exercised after May 7, 2024. As a result, the Company issued an aggregate of 2,900,000 common shares in the capital of the Company (each, a "Share") and 1,450,000 common share purchase warrants (each, an "Incentive Warrant"). Each Incentive Warrant entitles the warrant holder to purchase one common share of the Company (each, a "Share") for a period of 12 months from May 16, 2024, at a price of $0.075 per Share.

Energy Plug anticipates using the proceeds from the exercise of any Eligible Warrants for working capital purposes. For additional information on the Program, please refer to the Initial News Release.

The Incentive Warrants, and any securities issuable on the exercise thereof, are subject to a four-month hold period from the date of issuance pursuant to applicable Canadian securities laws, in addition to such other restrictions as may apply under applicable securities laws of jurisdictions outside of Canada.

Forward-Looking Information

This news release contains forward-looking information within the meaning of applicable securities legislation. Often, but not always, forward-looking information can be identified by the use of words such as "plans", "will", "proposes", "expects", "seeks", "estimates", "intends", "anticipates" or "believes", or variations (including negative and grammatical variations) of such words and phrases or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. This information and these statements, referred to herein as "forward‐looking statements", are not historical facts, are made as of the date of this news release and include without limitation, statements regarding discussions of future plans, estimates and forecasts and statements as to management's expectations and intentions with respect to, among other things: the anticipated use of any proceeds raised under the Program.

These forward‐looking statements involve numerous risks and uncertainties and actual results might differ materially from results suggested in any forward-looking statements. These risks and uncertainties include, among other things: delays in obtaining or failures to obtain required regulatory approvals for the Program from the CSE; market uncertainty; and the inability of the Company to apply the proceeds of the Program as intended.

In making the forward-looking statements in this news release, the Company has applied several material assumptions, including without limitation, that: the Company will be able to apply the proceeds of the Program as intended.

Although management of the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or forward-looking information, there may be other factors that cause results not to be as anticipated, estimated or intended. There can be no assurance that such statements will prove to be accurate, as actual results and future events could differ materially from those anticipated in such statements. Accordingly, readers should not place undue reliance on forward-looking statements and forward-looking information. Readers are cautioned that forward-looking statements contained in this press release are made as of the date of this press release. The Company disclaims any intention to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

Contact Information

Energy Plug Technologies Corp.
Broderick Gunning
President & CEO
brodie@energyplug.com

Investor Relations
Renmark Financial Communications Inc.
1900 - 130 King Street West, Toronto, ON M5X 1E3
John Boidman: jboidman@renmarkfinancial.com
Tel.: (416) 644-2020 or (212)-812-7680
www.renmarkfinancial.com

Media Contact
Perri Burrage
Account Manager, DGPR
+1587 577 1337
perri.burrage@dg-pr.com

To view the source version of this press release, please visit https://www.newsfilecorp.com/release/210589

FAQ

What is the total gross proceeds from the warrant exercise program for PLGGF?

The total gross proceeds from the exercise of warrants is $217,500.

How many warrants did Energy Plug exercise in its recent incentive program?

Energy Plug exercised 2,900,000 warrants.

What is the incentive for warrant holders to exercise their warrants early?

Warrant holders received one-half of an additional common share purchase warrant for each warrant exercised.

What is the exercise price for the new purchase warrants issued by PLGGF?

The exercise price for the new purchase warrants is $0.075 per share.

How long are the new purchase warrants valid for after issuance?

The new purchase warrants are valid for 12 months from May 16, 2024.

What will Energy Plug use the proceeds from the warrant exercise for?

Energy Plug will use the proceeds for working capital purposes.

Are there any restrictions on the new purchase warrants issued by PLGGF?

Yes, the new purchase warrants are subject to a four-month hold period under Canadian law.